16 March 2015

EV residuals climbing in UK

The residual values of electric cars are moving closer to those of equivalent diesel cars, according to the 'price bible' of the UK motor trade, Glass's Guide, writes Brian Byrne.

EVs currently account for some 2 percent of car sales in Britain, and Glass's say that the improving RVs are likely due to buyers becoming more familiar with the technology.

The best residuals are for the Tesla Model S, which at three years or 60,000 miles is currently worth 43 percent of its new price. That's virtually the same as the RV for the BMW 535 M Sport, a direct competitor in its segment.

BMW's own EV, the i3 with the extender range pack, is also estimated to be close in value at three years to the same brand's 320d. The gap is wider, 39.1/43.5 percent, but close.

Nissan's Leaf so far has the lowest residual value of electric cars, at 27 percent, but Glass's say that's because there are more of them around. The price guide expects this to improve with the recent announcement from Nissan that a new battery pack can be bought for £5,000, half the figure when the Leaf was launched first.

And as EV ranges increase, their residuals will improve further, according to the publication.